Glauco,

You don’t have to go and see a property. You can do your own research on the internet. It depends on what and where you want to buy.

If you can’t go and visit properties (for example, if money’s a problem) then you’ll be paying a buyer’s agent that $1000-$2500 for the privilege of them checking it out for you. It’s likely that you’ll want to see your properties eventually, so you may as well DIY, although Margaret Lomas has never seen some of hers- go figure.

kay henry

Tools,

Do your people get long service leave? I have no idea if people working in smaller organisations or businesses do, so now it’s the time to ask :o) Are your people (employees) on contract or is the work permanent?

Redwing- uni or trade… I think it’s a matter of people’s skills. Some want to work with their hands, and others don’t. All uni folks don’t work behind a desk though, Tools. There’s a million jobs under the sun where people work outside- uni and non-uni.

kay henry

Marky,

I generally have a rule not to disrupt tenants too much, so I usually stay with the PM they are paying rent to. If I don’t go with that one (or there’s no tenant so it doesn’t matter), then I will go with the RE that sold me the property. I’m all about continuity and lack of hassle, so I just go with them.

With the last 2 IP’s Ive purchased… one has an on-site manager, who lives at the complex with her husband, and who manages the properties there that are IP’s- she’s a complete darling *bless*, and she kind of considers herself on-call 24/7. The complex is her home too, and she loves it, like I do. She and I might be neighbours when I retire, if she’s still old enough to walk by then (or if I am) )

With the most recent IP, the RE was involved in the development and the marketing of the complex, and they have all the rentals there, and I bought the unit from the same RE too. They know it like the back of their hand.

As with dealing with solicitors, banks, accountants, PM’s… I like people who are patient, and understand my needs, and I am patient if they make a mistake. They make mistakes, but so do I in life, so I don’t care if they do.

I am explicit in telling my PM’s at the start how I do things- that I am a hands-off person, for the most part, and for them to do repairs and that I want to be drama-free about it all. Others are more hands-on and want to do repairs themselves etc. I think it’s probably important to let them know what kind of person you are- lack of communication about expectations is probably one of the reasons people change PM’s quite a bit.

kay henry

redwing :o) Good point. I go to three or four conferences a year, and the last one I went to, I checked out my IP, and signed my contract- it was good timing for me :o)

Conferences and work-related trips are a great way to check out RE all over the country, and to check out the “vibe” of a place.

kay henry

hehe- you guys are fuuuuuunny!

Spinsters on the Forum.. PG is handsome and gentle and has no bad habits, and he has unknown IP’s (but I hear he has lots).

PH- how’s the Broking business going? You didn’t take over Pisces run, did you? He was trying to flog it off some time ago. Do you guys still see him at your Ashfield property meetings?

kay henry

Ali,

I was kind of meaning “facts” like – the current Federal Reserve interest rate, the price I paid for my IP’s etc. I don’t really mean bigger things. Sonja, for example, just made a statement that is “fact” for her- there is one creator. That’s not the fact that I was speaking of. I am not really into those kinds of truths- I am a postmodernist- I question grand narratives.

AliG, I am the same in all my dealings- honest. If someone is not honest with me, then I retreat. If I am dealing with someone unscrupulous, I don’t decide to be unscrupulous too- I can’t change like that. For me, it’s not “be honest with the honest people, and dishonest with the dishonest ones.” That would be me being dishonest half the time. I only know one way to be, and would be wracked with guilt if I behaved differently (former Catholic) ))

kay henry

Rotorog,

It depends also, on how much money you have to chuck around. With neg gearing, you have to have some cash to put into the investments. I don’t see that as a problem in itself. Others do- and want to only make profit, without any contribution themselves.

Given that growth might be limited in the next few years with a slower market, yield can be an important factor. As for me, I’m happy with a yield of 6-9% with prospects for capital growth. If you see property as a long-term prospect, then the rush for capital gain is not the primary reason for purchase. A mix of yield and growth is my philosophy. My properties are negatively geared, but I’m ok with that. Even if they don’t go up in price hugely over the next decade, I’ll still own them one day and property is a good asset.

I go for the old-fashioned Somers idea: tax dude pays them off, tenant pays them off, and I pay them off. Between the 3 of us, property doesn’t cost that much.

kay henry

Skata said:

“There used to be some cheap mounts in the Fortitude Valley but all have upped their prices recently “

I presume the mounts you are referring to relate to my horses comment, Skata :o))

“Horses for courses “

kay henry

Mark,

You can have your opinions on wraps and crappy places, just like the rest of us do. This place is about people having discussions on real estate. It doesn’t matter how long you’ve been investing- your opinion can be expressed- and it will probably be challenged, just as everyone’s is. Take the insults with a grain of salt- there’s a wide variety of opinion on here.

kay henry

andreaw,

Wouldn’t the BC be insured? I don’t think the new Manager would be responsible for old outstanding funds. I’m not sure why you think she would be.

Can the members of the units just wipe off this debt ? It seems a really small amount (seeing one lot has just been paid off- does this mean there is only $250 owing?) Do you have much money in the funds?

If thre old manager is gone, and the unit resident has a receipt… I’d just forget about it… unless you want to pursue the old manager, which I think would be a bit of a drama.

kay henry